PACCAR Honored As One Of The World's Best-Managed Companies
16 August 2000
IndustryWeek Magazine Highlights Top 100 Companies Globally
BELLEVUE, Wash. - PACCAR Inc was selected today as one of the 100 Best-Managed Companies in the World by IndustryWeek magazine. The award honors businesses whose financial performance, commitment to innovation and excellent employee programs distinguish these companies as global leaders. Mark Pigott, chairman and chief executive officer, commented, "PACCAR is very pleased with this recognition highlighting the tremendous results generated by the company worldwide. To be included amongst such a distinguished group of companies is a tremendous honor that reflects PACCAR's 96-year tradition of being a quality leader in all aspects of business. All PACCAR employees are dedicated to delivering the highest quality products in the marketplace to our customers."Candidates for IW's Best-Managed Companies are compiled from a list of the world's largest publicly held manufacturing companies based on revenues. Using a proprietary financial formula, IW selected 100 finalists from the Industry Week 1000 in addition to the 100 companies chosen as winners in 1999. Each company's performance was then judged in the areas of profit-margin and revenue growth, sales, return on assets and return on equity. Total revenues, earnings per share and net income also were considered.
A panel of more than 90 international experts, including business leaders, analysts and academicians were asked to vote for those companies that they believed to be among the best-managed.
David Hovind, president, added, "The Industry Week honor complements PACCAR's other recent distinctions, such as the PC Week award for the company's implementation of information technology resources, Peterbilt earning the J. D. Power Medium-Duty Truck award and the LEAD Award from the Society of Manufacturing Engineers. Additionally, the company's Kenworth Truck plant in Renton, Washington, was recently recognized as one of 'America's Elite Factories'. We are delighted to be selected for Industry Week's prestigious list."
Each company on the IndustryWeek 1000 was asked to submit a completed questionnaire detailing its strongest performance and best practices in the following areas: people, market development, technology, social responsibility and processes. The completed questionnaires, together with IW financial research, company information and the votes of panelists were combined to determine the 100 winning companies.
"IndustryWeek's 100 Best-Managed Companies are the world's leaders in innovative management strategies," said John Brandt, publisher and editor-in-chief of IW. "Their emphasis on long-term growth makes them models for every corporation."
Mike Tembreull, vice chairman, said, "One of the criteria used in selecting PACCAR is its outstanding record of net profits for over sixty-one consecutive years. PACCAR recently announced record first half earnings for the year 2000. Our global diversification is an important element in our success. While the North American truck market is experiencing a slowdown in demand, the European truck market is on track for a record year. PACCAR is one of the best companies in the world and this award provides an excellent affirmation of the hard work by all PACCAR employees."
For the first half of 2000, PACCAR reported record earnings of $286.0 million, or $3.69 per diluted share. Sales for the first six months were $4.2 billion. PACCAR is the only automotive manufacturer to generate profits for over 60 consecutive years, and has paid dividends every year since 1941.
PACCAR, an $8 billion company, is a leader in the design, development and manufacture of high quality light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt, DAF and Foden nameplates. It also provides financial services and distributes truck parts related to its principal business. In addition, the Bellevue, Washington-based company manufactures industrial winches under the Braden, Gearmatic and Carco nameplates.